The National Markets and Competition Commission, known as CNMC, has not opted to halt private oversight of the big players in the natural gas market. The regulator opened a probe last October, focusing on customer service practices to ensure smooth transitions when users switch suppliers. It remains attentive to how regulated gas tariffs are applied, seeking to identify whether government aid is helping cut the bills for households.
The large aid package announced by the administration created a flood of requests to switch to regulated tariffs, sometimes referred to as last resort fees. Within six months, a million homes changed gas contracts. Early on, energy companies faced bottlenecks in handling demand, and many consumers complained about long waits, limited information access, and challenges in understanding contracts and terms.
The competition authority then opened an information file with the four major gas suppliers offering regulated rates: Naturgy, Iberdrola, Endesa, and TotalEnergies. The agency asked for monthly data on technical and human resources used to handle the surge, including call volumes, answered versus missed calls, wait times, and the process of evacuations. These metrics were requested to shed light on how well the sector could cope with the spike in demand.
The government has already spent 500 million to reduce the gas bill for 2.5 million homes.
The initial plan under Cani Fernández called for periodic information from the groups through April. Competition authorities aim to stay vigilant in the months ahead as many customers continue to migrate. A continued follow-up is expected, even as the CNMC seeks to simplify the information it requires, according to official Commission sources quoted by EL PERIÓDICO DE ESPAÑA.
The government has already spent 500 million to reduce the gas bill of 2.5 million homes.
While the CNMC weighs next steps, it has not pursued sanctions against the major players. Initiating a disciplinary case requires clear evidence of violations that would justify penalties, a standard the agency is cautious to meet as it gathers facts.
The information file represents an early stage in the CNMC’s audit toolkit for regulated sectors. It serves as a nudge for companies to correct course before any formal disciplinary action is considered and, in this instance, is seen as a proactive measure by the regulator.
“The CNMC prioritizes delivering timely help to consumers seeking contracts at the regulated rate,” the agency stated. “The audit shows that consumer services began to normalize in the second half of November thanks to strengthened efforts by the companies, including new telemarketing roles.”
The CNMC is also weighing the option of imposing preventive measures to prevent future disruptions. The agency is considering ensuring that marketers of regulated rates provide a seamless automated online contract channel on their websites, not merely through phone lines or physical offices as has been the case in the past.
Flurry of customer changes
Major energy firms continue to see high volumes of customers moving to regulated natural gas rates. State aid aimed at cutting gas bills has unsettled the market, with subsidies delivering roughly a 40 percent reduction in receipts for many households. While the regulated option has staged a historic uptick, it remains a minority share of total customers, with fewer than a third choosing this route.
During the peak of government assistance, about 1.58 million TUR customers left in September, with up to 2.5 million users impacted according to public data. Despite the mass migration, those on free market tariffs still outnumber regulated customers, who tend to encounter higher prices but have benefited from recent reductions and stabilization in pricing in the colder months. Today, approximately 5.7 million users stay on free market contracts.
The push from government aid coincides with a reshuffle in supplier strategies as large groups navigate the changes. The market environment continues to adjust in response to policy and consumer demand, with firms adapting their sales and contract processes to maintain service levels during transitions.
The government shields itself from large increases in electricity and gas during the election year.
As evidenced by the CNMC price comparison tool, only about 30 percent of users enjoy a tariff protected from sharp increases, a rate cheaper than many free market tariffs. State measures, including VAT reductions, have helped keep a regulated household bill roughly 40 percent lower than it would be otherwise. A quarterly review of regulated gas tariffs on April 1 found an average decline of 29.9 percent over the next three months, aided by lower fuel prices and government budget interventions addressing war-related price pressures.
The regulatory response aims to dampen volatility and protect consumers, particularly during periods of policy shifts and external shocks. The balance between consumer protection and market competition remains a central concern for the authorities as they monitor ongoing dynamics.
The cheapest gas prices are found by only three out of ten households.
Industry players recognize that consumer information gaps are the key reason many households keep paying higher prices. More than 62 percent of customers admit they do not know how much gas they actually use in their home. The CNMC Household Panel data, gathered amid the energy crisis in mid-2022, shows that over 67 percent are unclear about the differences between regulated rates and free market tariffs, highlighting a clear information deficit that policy makers and suppliers are trying to close for better consumer decision making. (Citation: CNMC Household Panel, 2022)